Home MarketXLS
Dashboard MarketXLS
Screener MarketXLS
Options Profit Calculator MarketXLS
Stock Ranks MarketXLS
Spreadsheet Builder MarketXLS
Documentation MarketXLS
Logout MarketXLS

On Balance Volume (Formula In Excel)

Written by  MarketXLS Team on 
Wed Oct 24 2018
 about CalculatorsFundamental analysisTechnical analysis

Meet The Ultimate Excel Solution for Investors

  • Live Streaming Prices Prices in your Excel
  • All historical (intraday) data in your Excel
  • Real time option greeks and analytics in your Excel
  • Leading data in Excel service for Investment Managers, RIAs, Asset Managers, Financial Analysts, and Individual Investors.
  • Easy to use with formulas and pre-made sheets

On Balance Volume in Excel

MarketXLS.com offers On Balance Volume excel based utilities to enhance your personal spreadsheets. Utilizing the security identifier and a date rage, we can generate OBV trend lines allowing us to enhance our charting capabilities by provide a powerful analytical tool. Historically the On Balance Volume indicator has been a valuable and reliable tool for many traders.

What is On Balance Volume:

On-Balance Volume (OBV) Excel analytics utilizes volume and price to help predict future price movement. The on balance volume indicator is one of the few indicators that truly precedes the movement of price. Other Indicators, MACD and RSI to name a few popular tools are lagging indicators. The benefit of the OBV is that it is a leading indicator and can help identify trends.

On Balance Volume Formula:

OBV totals of the volume both additions and subtractions and forms and OBV value. Cumulating the values we can draw a trend line that can then be compared with the price chart of the underlying stock. Allowing us to identify divergences or confirmations of trends.

The method for OBV is as follows:

If closing price Today(n) is greater than (>) the closing price of yesterday (n-1), then OBV of Today(n) = OBV of day Yesterday(n-1) + Todays(n) trading volume

If closing price of day Today(n) is less(<) then close price of Yesterday(n-1), then OBV of Today(n) = OBV of day Yesterday(n-1) – Todays trading volume

If closing price of Today(n) equals(=) the closing price of Yesterday(n-1), then OBV of Today(n) = OBV of Yesterday(n-1) – or no change

On Balance Volume Excel Formula

Excel coupled with VBA scripting can enhance your charting capability. Utilizing the tools we can trend the On Balance Volume indicator. To calculate the OBV you will need the securities historical trading volume and closing prices. These can be source from Yahoo Finance or another open source forum with historical data.

Note: The OBV of day 1 is the trading volume of day 1 – Or first day of reporting period.
Continued until last day of reporting date range

On Balance Volume Benefits

OBV helps predict trends and trend reversals. When large volume occurs with minimal price change, we should plan for a bullish trend. On the contrary, a significant decrease in volume with minimal price change are a bearish signal. Bullish divergences form when the OBV trends higher creating higher lows even as prices move lower. Bearish divergences form when the OBV indicator trends lower and forms lower lows, while prices trend higher and forge higher highs. As with any indicator, the OBV should not be the only too utilize. Paired with other tools like price action can have large benefits to your trading strategy.

Ad slot not ready
Interested in building, analyzing and managing Portfolios in Excel?
Download our Free Portfolio Template
I agree to the MarketXLS Terms and Conditions
Call: 1-877-778-8358
Ankur Mohan MarketXLS
Welcome! I'm Ankur, the founder and CEO of MarketXLS. With more than ten years of experience, I have assisted over 2,500 customers in developing personalized investment research strategies and monitoring systems using Excel.

I invite you to book a demo with me or my team to save time, enhance your investment research, and streamline your workflows.
Implement “your own” investment strategies in Excel with thousands of MarketXLS functions and templates.

MarketXLS is a complete Excel stock solution

Kevin Hsu

StockKevin.com

I have used lots of stock and option information services. This is the only one which gives me what I need inside Excel

Lloyd Lenase

Option Day Trader

MarketXLS is a data junkie’s dream. It gives me the flexibility to mine for hidden treasures.

Dave

Swing trader since 2011

I like to access historical closing prices on a particular date. That makes tracking performance easy.

Patrick Cusatis, Ph.D., CFA

Associate Professor of Finance - Penn State University

Get Access to 1 Billion Usable Market data points IN YOUR EXCEL SHEETS WITH EASY TO USE EXCEL FUNCTIONS

Get started today

🎉 Exciting news! 🎉

You are invited to join our Discord Channel.

Interact, learn, and grow with experts in the markets!

Join our Discord